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They arent subsidized. Internal combustion vehicles are disincentivized with taxes. Externalities internalized.


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Well, not really. The hefty taxes on ICEs have been there always to provide income for the state, they were not introduced to internalize any environmental effects. In particular this holds for the 25% VAT which EVs get to skip, which you otherwise pay on anything from bubblegum to burglary alarms.

The thing that irks me about this subsidy (or whatever you call it) is how ineffective it is. Something like $5000 per tonne CO2 avoided, if uou make some optimistic assumptions, which is 50-100x more expensive than most sensible emissions reduction methods. Adding insult to injury, total emissions from cars are growing, i.e. EVs lead to people driving more in total, not driving less in ICE cars. It's just greenwashing, pure and simple.


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